Personal Loan Amortization Schedule Calculator

Yes. This free personal loan amortization calculator estimates your monthly payment and total interest from the loan amount, APR, and term; a full schedule shows how each payment is divided between interest and principal and how the balance falls over time.

Formula

The calculator uses the standard level-payment amortization formula. It assumes equal monthly payments over the entered term, with interest calculated monthly at one-twelfth of the annual percentage rate:

Monthly payment = P × r ÷ [1 − (1 + r)⁻ⁿ]

• P is the starting loan principal, in dollars.
• r is the monthly rate as a decimal: APR ÷ 1,200. For an 8% APR, r = 0.08 ÷ 12.
• n is the number of monthly payments: loan term in years × 12.

Total interest is estimated as the rounded monthly payment multiplied by the number of payments, minus the starting principal: total interest = monthly payment × n − P. Because this calculator displays the payment to the nearest cent, it uses that rounded payment in its interest total.

Worked Example

Using the calculator’s default inputs: a $20,000 loan, 8% APR, and a five-year term.

1. Convert APR to a monthly decimal rate: 8 ÷ 1,200 = 0.0066667.
2. Convert the term to payments: 5 × 12 = 60 monthly payments.
3. Apply the formula: $20,000 × 0.0066667 ÷ [1 − (1 + 0.0066667)⁻⁶⁰] = approximately $405.53 per month.
4. Multiply the displayed payment by the number of payments: $405.53 × 60 = $24,331.80.
5. Subtract principal: $24,331.80 − $20,000 = $4,331.80 estimated total interest.

Assumptions

• The interest rate is fixed throughout the repayment term.
• Payments are equal, monthly, and made at the end of each monthly period.
• Interest compounds monthly at APR divided by 12.
• The estimate excludes fees, taxes, insurance, and other charges; these are not calculator inputs.

How to Read an Amortization Schedule

An amortization schedule is a payment-by-payment ledger. For each month, it typically lists the payment amount, the interest charged for that period, the amount applied to principal, and the remaining balance. The payment can stay level while its components change: as the balance declines, the interest portion generally shrinks and more of each payment goes toward principal.

For a detailed schedule, the first month’s estimated interest is the opening balance multiplied by the monthly rate. With the example, $20,000 × 0.0066667 is about $133.33. Subtract that from the $405.53 payment to estimate $272.20 applied to principal, leaving about $19,727.80. Later rows repeat the calculation using the new balance. A lender’s actual schedule may differ because of payment dates, daily interest methods, rounding, fees, or other contract terms.

This page calculates the regular payment and total interest, not every monthly row. To build a complete schedule, repeat the monthly steps using the actual balance and payment dates, or use a schedule tool that accepts the lender’s precise conventions.

When to Use It and Common Mistakes

Use the estimate to understand the basic payment mechanics, compare hypothetical loan amounts or terms, or check how principal repayment progresses under fixed-rate assumptions. Enter the amount that will actually be financed, the APR supplied for the loan, and the repayment term in years. If a lender quotes a term in months, divide that number by 12 before entering it.

• Confusing APR with the monthly rate: enter the annual percentage as a percentage, such as 8, not 0.08 or 0.00667. The formula converts it to a monthly decimal.
• Using the amount received instead of the amount financed: if charges are added to the principal, the financed amount may differ from the cash disbursed. Use the relevant figure shown in the lender’s disclosure.
• Assuming the estimate includes every cost: the formula models principal and interest only. Separate charges can change the amount paid overall.
• Overlooking rounding: actual payment calculations can carry precision differently or adjust a final payment. The example’s totals use a cent-rounded payment, as specified here.
• Entering a variable rate as fixed: a changing rate can change payments or repayment timing. This calculation holds the entered APR constant.

What the Estimate Does Not Show

A payment formula cannot establish a lender’s actual offer or approval. It also does not determine whether a quoted APR includes particular charges, how a lender handles late or extra payments, or whether payments are made on a different schedule. Those details depend on the loan documents and servicing method. For a real loan, use the disclosed principal, APR, payment amount, term, and payment schedule rather than treating a general estimate as an exact statement.

Extra principal payments can reduce the balance faster in many standard amortization setups, but their effect depends on how the lender applies them and whether the contract permits the treatment you expect. This calculator has no extra-payment input, so its outputs describe scheduled level payments only.

Frequently Asked Questions

Is a personal loan amortization schedule free?
Yes. This calculator is free to use for an estimate of monthly payment and total interest. It does not provide a lender-issued payment schedule or disclosure.

What does an amortization schedule tell me?
It shows each scheduled payment’s allocation to interest and principal and the remaining loan balance after payment. The allocation usually changes over the repayment period.

Does a personal loan payment include fees?
Not in this calculation. It estimates principal and interest only; fees or other charges must be checked in the lender’s documents.

Why is my lender’s payment different?
Possible reasons include a different financed amount, APR, term, payment date, interest method, fees, or rounding. Compare the calculator inputs with the lender’s disclosed figures and calculation details.

Can I use this for a variable-rate personal loan?
Only as a fixed-rate snapshot. The calculator assumes the entered APR stays unchanged, so it cannot project payments or total interest if the rate changes.

The result is an estimate, and the lender’s disclosure gives the exact figures.

Related

• Daily Loan Amortization Schedule Calculator
• Loan Amortization: How Payments Reduce Your Balance
• Create a Loan Amortization Schedule

in p | Loan amount | $ | 20000 | 1 | 100000000
in apr | Interest rate (APR) | % | 8 | 0.01 | 100
in yrs | Loan term | years | 5 | 0.0833 | 50
out pmt | Monthly payment | $ | p * (apr / 1200) / (1 - (1 + apr / 1200) ^ -(yrs * 12)) | 2
out int | Total interest | $ | pmt * yrs * 12 - p | 2